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Public Debt Management in Emerging Economies: Balancing Domestic Debt and Foreign-Currency Debt
In this paper we focus on the restructuring of public debts undertaken by Emerging Market countries (EMs), being interested on how this restructuring has entailed a change in the currency-composition of public debts and, thus, a reduction in the exposure to the exchange rate. Based on the debt crises occurred in Latin America and East-Asia, many theories and policy debates attribute this exchange rate risk exposure to financial underdevelopment and macroeconomic instability.